What is Kuwaiti dinar in Forex Trading?

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The Kuwaiti dinar is an official currency of Kuwait with code KWD and symbol د.ك or KD. The currency is subdivided into 1000 fils. It is world highest valued currency per face value. In 1960, dinar was introduced as official currency by replacing the Gulf rupee, equal to Indian rupee. Dinar was initially equivalent to one pound sterling. In 1990, when Iraq attacked Kuwait, the Kuwaiti dinar was replaced with Iraqi dinar and large number of Kuwaiti dinar were stolen by the attacking forces. After liberation from invaded forces, Kuwaiti dinar was restored as Kuwait currency and series of new banknotes was issued.

The first series of Kuwaiti coins were introduced in 1961. The shape and design of all coins were same and not changed since they were printed. The coin with worth of 0.02, 1 fils coin was introduced in 1988. There is six series of Kuwaiti dinar banknotes issue until now. The first series of Kuwaiti dinar was issued in 1960 under Kuwaiti Currency Law, which established the Kuwaiti Currency Board. The series was consisted of 1⁄4, 1⁄2, 1, 5 and 10 dinars. The series of these banknotes remain in circulation from April 1961 to February 1982.

In 1969, the Central Bank of Kuwait was established as a replacement to Kuwaiti Currency Board. The Central Bank of Kuwait issued second series of Kuwaiti dinar banknotes in November 1970 in denomination of 1 and 5 dinar banknotes. The 2nd series was also withdrawn in 1982. The 3rd series was introduced in February 1980 in denomination of 1⁄4, 1⁄2, 1, 5 and 10 dinars, note of 20 dinar was introduced in February 1986. This series also ruled as invalid in 1991. The 4th series was issued on March 1991 in denomination of 1⁄4, 1⁄2, 1, 5, 10 and 20 dinars. The 5th series of currency was introduced on April 1994, while the 6th series came into circulation in 29th June 2014.

Recently banknotes of 1⁄4, 1⁄2, 1, 5, 10, 20 dinars and coins of 1, 5, 10, 20, 50, and 100 are generally circulation in Kuwait economy. All banknotes are issued and controlled by the Central Bank of Kuwait.

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